(Bloomberg) -- Nigeria’s higher corn yields will likely compensate for the smallest area under the crop in nearly 15 years, as rising input costs, violence and instability in the West African nation pushes away growers.
Yields in the second week of August in Katsina State, the second largest corn growing area in the country, were at the best levels since 2019, according to data from the Mantle Labs Crop Conditions Index, which uses satellite data and AI to assess the crops. Crop health in some other areas is either flat or just slightly lower.
“Nigeria has been steadily losing corn acreage to other crops and also due to challenges such as high input costs and insecurity in agricultural region,” Jon Pierre CEO of Mantle Labs said “However, corn production looks set to be on par with last year as a rebound in yields makes up for reduced planting” he added.
Should Nigeria’s corn output even stay flat on year, it would be positive news as several African countries face crop shortages after a drought decimated crops in Ghana and most of Southern Africa.
Increased corn yields should help ease malnutrition concerns and lower pressure on Nigeria’s food-driven inflation, providing much-needed relief for authorities. The government has introduced plans to reduce food costs, including a 180-day window for importing wheat and corn in a bid to cut prices in the open market.
Nigeria’s area under harvest for corn fell to 5.1 million hectares for the 2024-25 agricultural season, the lowest level since 2010-11, according to data from the United States Department of Agriculture.
The United Nations’ World Food Programme is currently seeking 290,000 tons of the grain as it mounts its biggest ever drought response in Southern Africa. Ghana seeks to raise $500 million to mitigate the impact of drought induced grain shortages.
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